Albany International (AIN) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue rose 12% year-over-year to $321.2 million, driven by Engineered Composites growth and partially offset by Machine Clothing softness in Asia and China.

• Adjusted EBITDA for Q4 2025 was $57.3 million (17.8% margin), up from $50 million (17.4%) last year; Adjusted EPS increased to $0.65 from $0.58.

• Net income for Q4 2025 was $14.0 million ($0.49 EPS), down from $17.7 million ($0.57 EPS) in Q4 2024, due to a higher effective tax rate and increased SG&A expenses.

• Strategic review of the Salt Lake City/structures assembly business is underway, with significant interest from private equity and strategics.

• Completed corporate relocation to Portsmouth, NH, to enhance talent acquisition and retention.

Financial highlights

• Q4 consolidated sales reached $321.2 million, up 12% year-over-year; Adjusted EBITDA was $57.3 million (17.8% margin).

• Gross profit for Q4 2025 was $99.9 million (31.1% margin), up 10.6% from Q4 2024.

• Operating income increased 22.9% to $29.9 million (9.3% margin).

• Free cash flow for Q4 2025 was $51 million, down from $59.3 million last year; full-year free cash flow reached $81 million.

• Ended Q4 with $112.4 million in cash and $456 million in total debt; net debt of $343 million.

Outlook and guidance

• Q1 2026 consolidated revenue expected between $275 million and $285 million; Adjusted EPS of $0.50–$0.60; effective tax rate of 27%.

• Machine Clothing revenue guidance: $160–$165 million; Engineered Composites: $115–$120 million.

• Q1 results anticipated to be the lowest of the year due to Machine Clothing facility downtime, with a $0.10–$0.15 EPS impact; recovery expected over the remainder of the year.

• Engineered Composites segment expected to see continued growth in 2026, especially in LEAP, engine, and missile programs.